The Free State’s Kopanong local municipality has failed to pay an estimated R58m in pension fund contributions collected from municipal workers over the past six years to the workers’ pension fund. This emerged from an investigation by the Pension Funds Adjudicator following complaints by three of the municipal workers. An employer is obliged to pay over the contributions it collects from an employee's salary as well the employer contributions (that form part of the salary package) to the employee's pension fund. But many employers fail to do so, contravening the Pension Funds Act in what amounts to theft of employees’ money. And the failure of the board of trustees and the administrator of the SA Local Authorities Pension Fund, Fairsure Administration, to take action to force the Kopanong municipality to pay over the money has annoyed adjudicator Muvhango Lukhaimane, who has been campaigning against trustees and administrators who do nothing to stop employers who plunder members’ s...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now